Budgets can feel overwhelming, especially when you’re already juggling everything that comes with running a business. There’s a lot of noise out there, and it is not always easy to spot what actually applies to you.
But that is exactly why we are here.
You do not need to untangle this alone. We are more than happy to answer your questions, explain what matters for your business, and help you plan the next steps in a way that feels calm and clear.
The best news? There are no major shocks this time. Most of the changes are being phased in gradually, which gives us time to prepare properly and keep your business in a strong position.
Here is a simple breakdown of the main tax and finance changes coming up:
Dividend tax is going up
From April 2026, dividend tax rates will rise by two percentage points. If you pay yourself through dividends, your take-home pay might drop a little.
What to do
We can help you review the way you take income from your company. A good mix of salary, dividends and pension contributions can keep things tax-efficient and flexible. Now is the right time to start planning for next year.
Tax on non-salary income is rising
From the same date, higher tax will apply to other types of income too. This includes things like savings interest, rental income and extra dividends.
What to do
If you have money coming in from more than just your salary, this could affect your personal tax bill. We can look at strategies like pension top-ups, using your allowances, or restructuring ownership to keep more of your income in your pocket.
Minimum wage is increasing
From 1 April 2026, the National Minimum Wage will rise again. The new hourly rates will be:
£12.71 for people aged 21 and over
£10.85 for 18 to 20-year-olds
£8.00 for under 18s and apprentices
What to do
If you employ staff on hourly pay, this is a good time to check your payroll costs for next year. We can help you review cash flow, tweak your budgets, and make sure you are planning ahead for any changes to shift patterns, roles or recruitment.
New tax charge for high-value homes
From April 2028, a new annual charge will apply to homes worth over £2 million. This applies to residential properties, whether they are owned personally or through a company.
What to do
If you already own or are thinking about buying a high-value property, we can go through your options. There may be ways to reduce the impact, or structure the ownership in a more tax-friendly way. Let us know early so we have time to get it right.
Electric vehicles will be taxed differently
Electric vehicles are moving to a pay-per-mile road charge system from 2028. The exact details are still being finalised, but the plan is to replace lost fuel tax with a mileage-based charge.
What to do
If you are thinking of switching to an electric car or van for your business, it is still a tax-smart move. But we will help you look at the full picture, including long-term running costs and the best way to buy or lease through your company.
National Insurance relief for salary sacrifice pensions is being capped
From April 2029, only the first £2,000 per year of pension contributions made through salary sacrifice will be free of National Insurance. Anything over that will have NI applied.
This change does not affect regular pension contributions. It only affects pension payments made through a salary sacrifice setup.
What to do
We have time to plan. If you are using salary sacrifice to boost your pension tax-efficiently, we will check how this cap might affect your strategy. There are still ways to keep things efficient and compliant, especially if we plan ahead now.
Income tax thresholds are frozen until 2030
The basic and higher-rate income tax bands are staying the same until the 2030 to 2031 tax year.
That means even if tax rates do not go up, more of your income could be pulled into higher bands as your earnings rise. It is known as fiscal drag.
What to do
We can help you use all your allowances wisely, top up your pension, and structure your income in a way that keeps you in control of your personal tax bill. Planning little and often is the best way to stay one step ahead.
Capital Gains Tax rules are tightening
If you are thinking about selling your business, a property or even restructuring your company, the Capital Gains Tax landscape is becoming more complex.
What to do
It is never too early to plan. Selling or restructuring with the right timing and structure can save thousands in tax. If you think this might apply to you in the next few years, let’s start the conversation now so you have options.
What to do next
You do not need to tackle all of this today. But now is a smart time to step back and make sure your plans are still working for you. Here are a few things worth looking at:
Review how you take income from your business to make sure it is still tax-efficient
Build the 2026 minimum wage increases into your staffing budget if you have employees
Get advice early if you are considering selling, restructuring or investing in property
Look at your long-term plans before buying electric vehicles or making big pension contributions
Every business is different, and the right next step will depend on your goals. The key is to stay proactive, not reactive.
Let’s plan ahead together
If any of this feels a bit much or you’re not sure what applies to you, that’s completely normal. You don’t need to figure it out on your own.
We’re happy to help you make sense of it, talk through your options, and come up with a plan that actually feels doable.
Book your free consultation call here!
It’s a relaxed chat, no pressure, just a chance to ask questions and feel clearer about what’s next for you and your business
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